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AI Boost: Hong Kong Stocks Surge on Chipmaker Optimism
16 Jan
Summary
- Hong Kong stocks saw a significant increase on Friday.
- Strong earnings outlook from TSMC boosted investor confidence globally.
- Gains were led by e-commerce and chip-making companies.
Hong Kong stocks experienced a notable rally on Friday, mirroring the positive performance seen on Wall Street. The uplift was largely attributed to an optimistic earnings forecast from Taiwan Semiconductor Manufacturing Company (TSMC), which bolstered global investor confidence in sustained demand for artificial intelligence technologies.
The Hang Seng Index opened 0.6% higher, with the tech-heavy Hang Seng Tech Index also seeing gains. Companies such as Alibaba Group Holding and Semiconductor Manufacturing International Corporation led the advance, reflecting strong market sentiment towards e-commerce and the chip manufacturing sector. This surge marked a reversal from the previous day's losses.
This positive market movement was echoed in the US, where major indices like the S&P 500 and Nasdaq 100 climbed. The robust outlook from TSMC helped to alleviate concerns about a potential slowdown in AI investments, reinforcing the current optimistic view on technology shares and their growth potential.
